ML19312D679
| ML19312D679 | |
| Person / Time | |
|---|---|
| Issue date: | 02/11/1980 |
| From: | Fitzgerald J NRC OFFICE OF THE GENERAL COUNSEL (OGC) |
| To: | |
| Shared Package | |
| ML19312D675 | List: |
| References | |
| REF-10CFR9.7, TASK-CC, TASK-SE SECY-80-078, SECY-80-78, NUDOCS 8003250182 | |
| Download: ML19312D679 (12) | |
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- y4 UNITED STATES NUCLEAR REGULATORY CC. MISSION
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j WASHINGTON, D. C. 20555 February 11, 1980 SECY-80-78 CONSENT CALENDAR ITEM
_T_o_ :
The Commission From:
James A. Fitzgerald Assistant General Counsel
Subject:
Minor Changes in NRC Conflict of Interest Regulations
Purpose:
To gain Commission approval of minor changes in the Commission's conflict of interest regulations Discussion:
The Office of the General Counsel is recocmending that minor changes be made in the Commission's regulations pertaining to those NRC employees who must file a Confidential Statement of Employment and Financial Interests (NRC Form 269) and the date that these annual statements are due.
Annex C to 10 CFR Part 0 sets forth criteria establishing which URC employees must submit Confidential Statements of Employment and Finan-cial Interests.
The criteria are ambiguous and are not being interpreted uniformly throughout the NRC.
For example, most NRC offices require all employees GG-13-15 to file such statements.
However, one major office has generally limited it to GG-15s.
Because of the significant roles played in Commission decision-making by attorneys in OGC and ELD and professionals in the Office of Policy' Evaluation, these offices for several years have requested employees below the GG-13 level to voluntarily submit statements.
We believe l
that it would be appropriate to clarify URC's regulations to ensure a greater degree of uni-formity among the offices.
We have discussed this matter with the Office of Government Ethics, Office of Personnel Management and were informed that most federal agencies require all employees GG-13-15 to submit such CONTACT:
Trip Rothschild, OGC 4-1465 80 032 50l $9(
The~Commissi'on 2
statements, alth'ough some agencies have employees below that level subject to the reporting-require-ment.
We are proposing that all employees GG-13-15, as well as all attorneys in OGC and ELD, all professional employees in OPE, and all contract-ing officers in ADM also be subject to the require -
ment, regardless of their grade level.
The Division of Contracts requested that all contract officers be included.
A second change that we are proposing pertains to the date the annual statements are due.
Presently employees are required to file a statement on June 10.
He propose to move that date up to May 15, the same date that GG-16s and above, and SES members are required to submit their public dis-closure reports (Form 278).
The reason for this proposed change is that under the Commission's recently revised stock ownership regulations, employees covered by the. requirement must annually sign a certification that they are in compliance with those regulations.
We believe that the most effective way to obtain the certificates is to require them to be submitted along with the financial disclosure statements.
If all NRC employees file their financial statements at the same time, they can all work from the same pro-hibited stock ownership list and will have the same 365 day period to divest themselves of any new prohibited security interests added to the list.
If this approach is not adopted, the dead-line for divectiture will be different for dif-ferent categories of employees, and in some years, the prohibited list may also be different.
In addition, we have made other minor changes to Section 0.735-28.
Prior to enactment of the Ethics in Government Act, NRC supergrades filled out Confidential Statements of Employment and Financial Interests (Form 269) and the regula-tions set forth who is to review statements filed by these individuals.
Under the Ethics Act these employees fill out public Financial Disclosure Reports (Form 278) instead.
The proposed regula-tions delete the references to supergrades.
OPM will publish regulations these spring which will cover the financial reporting requirements for supergrades.
We also-propose a couple of minor t
editorial: changes in order to make the regula-tions more comprehensible and to reflect current
. Commission practice.
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The Commission 3'
L We therefore recommend that the Commission approve-the attached minor amendments to the Commission's regulations.
There is no legal requirement that the Commission seek public comments, and it has been past Commission practice not to seek comments on changes to NRC's conflict of interest regula-tions.
The regulations do, however, have to be submitted 1to the Office of Government Ethics for approval before they can be published in the Federal Register.
Coordination:
OPE, EDO, and ELD concur.
The NTEU has-been pro-vided a copy of this paper.
. llWs.b...
Fit'zgerald (James A.
Assistant General Counsel
Enclosure:
Dre f t Federal Register Notice Comissioners' comments or consent should be provided directly to the Office of the Secretary by c.o.b. Wednesday, February 27, 1980.
Comission Staff 0ffice coments, if any, should be submitted to the Comissioners
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NLT February 20,1980,- with an information copy to the Office of the Secretary.
If the paper is of such a nature that it requires additional time for analytical-review and comment, the Comissioners and the Secretariat should be apprised of
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when comments may be expected.
4 This paper is tentatively scheduled for affirmation at an Open Meeting during the Week of, March 3, 1980.
Please refer to the appropriate Weekly Commission Schedule, when published, for a specific date and time.
. DISTRIBUTION:
Comissioners
=Comission Staff Offices Exec Dir :for Operations-ACRS ASLBP' ASLAP
. Secretariat
[7590-01]
Title 10--Energy CHAPTER l--NUCLEAR REGULATORY COMMISSION PART 0--CONDUCT OF EMPLOYEES Filing of Confidential -Statements of-Employment and Financial Interests by NRC Employees AGENCY:
. U.S. Nuclear Regulatory Commission ACTION:
Final Rule
SUMMARY
- The Nuclear Regulatory Commission has revised its regulations regarding those NRC employees who are required to fill out confidential statements of employment and financial interests and the dates when these statements are due.
EFFECTIVE-0 ATE:
(Date of Publication in the Federal Register)
FOR FURTHER INF0PfiATION CONTACT:
Trip Rothschild, Office of the General
- Counsel, U.S. Nuclear Regulatory Commission, Washington, D.C. 20555 (202-634-1465)
SUPPLEMENTARY INFORMATION:
The Nuclear Regulatory Commission has revised its regulations to provide that all NRC employees classified at grades GG-13 through GG-15 will file confidential ' statements of employment wit'hin thirty days after commencing NRC employment, and shall file annual statements thereafter which will be due on May 15.
All attorneys in the Offices of the General Counsel and Executive Legal Director, all professionals in the Office of Policy Evalua-tion, and all contracting officers in the Office of Administration will be
- covered by the reporting requirement, even if they.are ' paid at a rate below GG-13. ; Previously, most but 'not all NRC employees grades GG-13 through GG-15 were subject to the reporting requirement.
The statements were due on-June 10.
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Because these amendments relate solely to matters of agency management or personnel, good cause exists for omitting notice of proposed rulemaking, and public procedure thereon, as unnecessary, and for making the amendments effec-tive upon pubitcation in the FEDERAL REGISTER.
Pursuant to Executive Order 11222 of May 8,1965, 5 CFR 735.104, and sections 552 and 553 of Title 5 of the United States Code, the following amend-ments to Title 10, Chapter 1, Code of Federal Regulations, Part 0, are published as a document subject to codification, to be effective (date of publication in the FEDERAL REGISTER).
1.
0.735-28 is revised to read as follows:
0.735-28 Confidential statements of employnent and financial interests-(a) Categories of employees required to submit statements.
The following employees shall submit confidential statements of employment and financial interests prepared in accordance with paragraph (c) of this section.
(1) All employees paid at the levels of GG-13, GG-14, or GG-15.
(2) All employees occupying professional staff positions in the Office of Policy Evaluation, all contracting officers in the Office of Administration, and all attorneys in the Offices of the General Counsel and Executive Legal Director (including those employees being paid below the GG-13 level).
(3) All-special Government employees, except those who have worked 60 days or more in the previous calendar year and were paid during that period at a level of GG-16 or above, or an equivalent
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thereto.
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(b) Notice of employees of time and place to submit statements.
Upon commenc-
'ing NRC employment, the Office of Administration will provide all employees covered by the reporting requirement with a copy of the statement form.
Each employee covered by the reporting requirement shall submit his state-ment to the head of his office not later than 30 days after his entrance on duty.
Statements of special Governnent employees shall be submitted prior to appointment.
Each regular and special Government employee covered by the reporting requirement shall submit to the head of his office a supplementary annual statement by May 15 of each year.
The information provided in this annual supplement should reflect the indi-
~vidual's interests as of April 30.
Notwithstanding the filing of the report (s) required by this section, each employee shall at all times avoid acquiring a financial interest that could result, or taking ar, action that would result, in a violation of the conflicts-of-interest provisions of section 208 of title 18, United States Code, or this Part O.
(c)
Preparation cf statement.
Statements shall be prepar.ed in accordance with the following:
(1) Statenent ' Form.
The forms prescribed by NRC are:
Regular Government employees -- Form NRC 269.
Special. Government employees -- Form NRC 443 (2) Statement Cortent i.
a.-
Interests of employee's relatives.
The interest of a spouse, minor child, or.Other member of an employee's immediate house-
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hold is considered to be an interest of the employee and must be reported.
For the purpose of this paragraph, " member of an empicyee's immediate household" means full-time residents of the employee's household.
b.
Information not known by employees.
If any information required to be included on the statement or supplementary statement, including holdings placed in trust, is not known to the employee but is known to another person, the employee shall request that other person to submit information on his behalf, and shall report such request in Part IV of Form NRC 269 or item 16b. of Form NRC 443.
c.
Information not required to be submitted.
A statement or supplementary statement need not contain the following:
(i)
Any information relating to the employee's connection with, or interest in, a professional society or a charitable, religious, social, fraternal, recreational, public service, civic, or political organization or a similar organization not conducted as a business enterprise and which is not engaged in the ownership or conduct of a business enterprise.
For the purpose of this section, educational and other insti-tutions doing research and development or related work involv-ing grants of money from or contracts with the Government are deemed " business enterprises" and are required to be included in an employee's statement.
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(ii)
Precise amounts of financial interests, indebtedness, or value of real property.
The employee may, however, at a later time be required to reveal precise amounts if the NRC needs that information in order to carry out its responsi-bilities under applicable laws and regulations.
(iii)
Remote or inconsequential financial interests, as set t
forth in 5 0.735-21(c).
(iv)
For special Government employees:
Those financial interests which are determined by the official responsible for such employee's appointment as not to be related either directly or indirectly to the duties and responsibilities of said employee.
(d) Reviewing statements and reporting conflicts of interest.
(1) The employee sh3.11 prepare the statement in duplicate, retain one copy, and submit one copy _ to the head of his office.
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(2) The office head, in reviewing the statement, shall assess it for conflicts or the appearance of conflicts of inter et in the con-text of the employee's assigned duties and responsibilities in the NRC.
.(3)
If the office head desires advice and guidance, he.may discuss the statement with the counselor or appropriate deputy counselor.
(4)' The office head shall discuss with the employee and. point out any a'spect's of the statement which give rise, in the office head's
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opinion, to questions of conflict or of appearance of conflict.
(The office' head shall not take, or direct the employee to take, any action with respect to such conflict without first seeking the advice of the counselor or appropriate deputy counselor.)
(5) The o'ffice head shall in all cases record his opinion as to the presence or absence of a conflict on the statement and forward same to the NRC counselor or deputy counselor.
(6) The NRC counselor or deputy counselor shall review the statement, and discuss any questions with the employee ald/or his respective office head.
(7) If the NRC counselor or deputy counselor believes that the statement evidences no question of conflict of interest, he shall record his opinion on the statement, and notify the office head.
(8)
If the NRC counselor or deputy counselor believes there is a question of conflict of interest, he shall return the statement to the office head with his opinion recorded thereon.
(The counselor or deputy counselor shall make his services available to the office head and employee involved to assist in effecting a resolution of any con-flict or appearance of conflict.) The reviewer shall report.to the l
counselor or deputy counselor the results of endeavors to effect resolution of the conflict at the employee-office head level, which
-results shall _be recorded on the employee's statement and submitted to the cour.selor or deputy counselor for review and approval.
~(9)~ When a statement submitted or information from other sources indicates a conflict between the interests of an employee and the performance of
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his service for the NRC and when the conflict or appearance of conflict is not resolved by the head of the employee's office, or the counselor or deputy counselor,~ the information concerning the conflict or appearance of conflict shall be reported to the Commission, or the Executive Director for Operations,- as appropriate.
The employee concerned shall be provided an opportunity to explain the conflict or appearance of conflict.
(10) When, after consideration of the explanation of the employee provided for in paragraph (d)(9) of this section, the Commission, or the Executive Director for Operations, as appropriate, decides that remedial action is required, immediate action to end the conflict or appearance of conflict of interest shall be taken.
Remedial action may include, but is not limited to:
(i) Changes in assigned duties; (ii) Divestment by the employee of his conflicting interest; (iii) Disciplinary action; or (iv) Disqualification for a particular assignment.
Remedial-action, whether disciplinary or otherwise, shall be effected in accordance with any applicable laws, Executive Orders, and regula-tions.
Disciplinary remedial action with respect to an employee of another Government agency assigned or detailed to the NRC shall be-effected only by the parent. agency.
(11) Upon completion of processing, the' statement shall. be filed in the office of the counselor or deputy counselor, lin a special file main-
- tained for that purpose.. An WRC office may request a copy of a state-
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ment from the counselor or deputy counselor, provided that it is required for purposes of carrying out responsibilitie's under this part.
(12) The' required supplementary statements shall be processed in the same manner as an initial statement.
(e) Confidentiality of employees' statements.
NRC shall hold each statement of employment and financial interests, and each supplementary statement, in confidence.
To insure this confidentiality only the NRC counselor, deputy counselor (s), and those office heads to whom reports are to be submitted (including those employees specifically designated by them to assist in the review as may be necessary) are authorized to review the statements as provided in this section.
The foregoin0 employees are responsible for maintaining the statements in confidence and shall not allow access to, or allow information to be disclosed from, a statement except to carry out the purpose of this part.
NRC shall not disclose information from a statement except in accordance with procedures set forth in paragraph (d) of this section, or as the Commission, or the Executive Director for Operations, as appropriate, or the Office of Personnel Management shall determine for good cause shown.
I' (f)- Effect of employee's statements on other requirements.
The statements of employment and financial interests and supplementary statements required i
of employees are in addition to, and not in substitution for, or in deroga-tion of, any similar requirement imposed by law, order, or regulation.
The
. submission of a ' statement or supplementary statement by an employee or the e
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absence.of any requirement that an employee submit such a statement does
. not permit him or any other person to participate in a matter in which his or the other-person's' participation is prohibited by law, order, or regula-tion.
(g) Availability of review.
Any employee who believes that his position has been improperly included under this section as one requiring the submission of,a l
statement of employment and financial interests may utilize the grievance procedure in NRC Manual Chapter 4157, for review of his complaint.
2.
Annexes B and C are deleted from Part 0.
.For the Commission SAMUEL J. CHILK Secretary of the Commission Dated -at Washington, D.C.
this day of-
, 1980.
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